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Draft Model Standing Orders for the Service Sector

The Industrial Relations Code, 2020 (IR Code) requires industrial establishments with three hundred or more workers, to adopt a Standing Order. Further, Section 29 of the IR Code directs the Central Government to make Model Standing Orders (Model SO) relating to conditions of service and other connected matters. In accordance with this, the Ministry of Labour and Employment, on 2nd January 2021, published the draft Model Standing Orders for the Service Sector for feedback.

When an employer adopts the Model SO, such standing order shall be deemed to have been certified under law. The employer is required to forward the information in this regard to the concerned certifying officer.

The key provisions of the Model SO are listed below.

  1. The draft provides for and defines the following categories of workers – Permanent, Temporary, Apprentices, Probationers, badlis and Fixed term employment.
  1. The Model SO, if adopted by an industrial establishment will be applicable to all units of the establishment irrespective of their location.
  1. The Model SO permits the employer to allow a worker to Work From Home (WFH) for any period, subject to conditions of appointment or an agreement.
  1. For the IT sector, the working hour will be as per agreement or conditions of appointment between employer and workers.
  1. Involvement in unauthorised access of any IT system, computer network of the employer or client is categorised as misconduct.
  1. The provisions encourage employers to disseminate information to the workers through electronic mode.

However, adoption of the Model SO is optional. The Employers can, at their discretion, adopt a different Standing Order by following the required certification process under the IR code.

The copy of the draft Model Standing Orders is available here.

Stakeholders have been invited to submit comments and suggestions latest by 31st January 2021.  We request you to share comments to deepak@nasscom.in and jayakumar@nasscom.in before 22nd January 2021.

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